Cobre Restricted (ASX: CBE, Cobre or Firm) is happy to announce that it has executed a letter of intent to barter completely with an entirely owned subsidiary of BHP Group Ltd (BHP) for a cloth earn-in three way partnership settlement over Cobre’s Kitlanya West and East Copper Initiatives (Kitlanya Initiatives), situated on the northern and southern basin margins of the Kalahari Copper Belt in Botswana (Proposed Transaction). The Proposed Transaction follows on from Cobre’s profitable participation within the BHP Xplor program which additionally offered funding for the not too long ago accomplished seismic survey on the Kitlanya West undertaking (see ASX bulletins of 23 January 2024 and 22 August 2024)
The Proposed Transaction underscores Cobre’s confidence within the potential for its initiatives to host Tier 1 copper-silver deposits. A partnership with BHP would offer the exploration scale and experience to maximise our probabilities of making vital new discoveries on our basin margin exploration floor whereas retaining 100% possession of our Ngami and Okavango Copper Initiatives that are excluded from the Proposed Transaction.
The Proposed Transaction is topic to approval and execution of formal binding paperwork (Definitive Agreements) and the completion of BHP’s due diligence investigations throughout the exclusivity interval. Last particulars of the Proposed Transaction will likely be launched to the market following completion of the long-form paperwork.
Commenting on the Proposed Transaction, Adam Wooldridge, Cobre’s Chief Govt Officer, mentioned:
“Profitable negotiation and completion of this vital transaction with BHP, one of many world’s main mining corporations, will likely be a serious second in time for Cobre as an organization. Taking part within the BHP 2024 Xplor cohort has offered the chance to do a belt scale evaluation of the Kalahari Copper Belt, culminating with the gathering of seismic knowledge over the potential northern margin of the belt. The Proposed Transaction with BHP would permit us to completely fund our follow-on exploration programmes and concentrate on discovering the Tier 1 deposits we imagine could also be hosted in our Kitlanya West and East Initiatives.
Independently, Cobre will proceed advancing its 100% owned in-situ copper restoration improvement at Ngami – with a scoping examine due in early October – together with additional drilling at Cobre’s 100% owned Okavango undertaking. This mixed technique supplies publicity to potential Tier 1 discoveries, a improvement alternative at Ngami and short-term discoveries on our Okavango undertaking.”
A locality map illustrating the undertaking areas is offered in Determine 1.
Determine 1. Locality map illustrating the place of Cobre’s undertaking areas. Inexperienced licenses are related tothe Proposed Transaction, darkish gray licenses will likely be run independently by Cobre.
Cobre will proceed to offer shareholders with additional updates on materials developments in respect of the Proposed Transaction.
This ASX launch was authorised on behalf of the Cobre Board by: Adam Wooldridge, Chief Govt Officer.
Click on right here for the total ASX Launch
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